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12th May 2022
Whilst ‘fast fashion’ is low cost, every new item produced has an environmental impact. From the extraction and production of raw materials to manufacturing and transportation. However, resourceful GenZ consumers love for second-hand goods is creating growth in recommerce and pre-loved clothing sales.
Our research report ,“The Recommerce Generation: How Gen Z are shaping the future of packaging”, shows that clothing accessories and footwear account for 60% of the items that Gen Z’s are more inclined to buy in a pre-loved condition, rather than shopping for a new item first. It also highlights that 1-in-5 recent fashion purchases made online by Gen Zs was a preloved item.
But what’s driving the love for recommerce amongst Gen Zs in particular? Our research revealed three key areas that are having the most influence on Gen Zs when it comes to choosing the route of recommerce and purchasing pre-loved items – affordability, accessibility and awareness.
Affordability
The financial benefits and opportunity of recommerce appeal to GenZ demographic, raised during the global recession of 2008 who are now entering adulthood and the world of work against and extremely challenging economic backdrop. This uncertainty will undoubtedly impact their consumption habits and shopping behaviours and is where pre-loved proves to be both an affordable way to shop, and a potential source of income.
Accessibility
There’s no other generation that’s had more access to the digital world. Gen Z’s are true digital natives – exposed to the internet and social media from a young age. They feel at home shopping online and engaging with multiple recommerce platforms. When it comes to the opportunity for brands and retailers, our research found that 3-in-5 Gen Zs would be more likely to buy from a retailer if they sold pre-loved items online or in-store.
Awareness
Many studies have shown that Gen Zs hold the social values of a company in the highest regard. Research by McKinsey found that 90% of Gen Zs believe that companies ‘have a responsibility to address environmental and social issues.’ Gen Zs are also more aware and mindful of the impacts of mass consumerism.
Our research found that for a quarter of Gen Zs, their main reason for purchasing pre-loved products is fuelled by this environmental awareness – to avoid waste to landfill and reduce the use of resources and carbon emissions associated with making new products.
These 3 principles are feeding the growth of the pre-loved market, but how should brands and retailers adapt their packaging to support recommerce models and make it easier for consumers to buy and resell? We explore the changes needed in our report which you can download for free here